Wednesday, 10 August 2016

Marketing Mix - Jeep suitcase

Jeep Adventure Small/Cabin 52cm Hardside Suitcase Charcoal 5200C


1.Introduction - Since its foundation during World War II, the Jeep® brand has been recognized throughout the world as a symbol of freedom, capability and adventure. Jeep’s ethos of Go Anywhere, Do Anything® now extends to the luggage arena with a selection of rugged luggage, ready for anything you throw at it. (1)
2.Outline product -
Brand Jeep, Modern design - looks like a tyre, quality product with 3 years warranty, Features - 4 x multidirectional spinning wheels, fully lined interior with organisational divider, recessed push-button telescopic trolley system, comfortable grip handles on top and side Benefits - helps make packing easy, easier lifting and carrying, Approved cabin bag size for Qantas domestic and international flights, Price in AU - $109-$280
3.Situational analysis -
Macro-environmental analysis - PESTEL
          a) Political - at the moment we won’t be affected much by political situation,       but in future, Australian government plans on increasing GST by 5% - we could use the fact for our marketing “PRE-GST sale”
          b) Economical - Global Economic crisis effects Australia less than in Europe. Still our product will be as an “extra” product for many households.
          c) Socio-cultural - With our suitcase we can show, that we are concerned about health of people, where they don’t need to carry things on their back, because our product (suitcase) has wheels. It also makes travel in Airplane easier, because it fits into overhead locker.
          d) Technological - There is often a tendency to focus Technological developments, materials development and new methods of manufacture, distribution and logistics.
          e) Environmental - Our is made only partially from recyclable plastic. Only small plastic parts, in future we would like to focus on using recyclable materials in bigger parts, or using recycled materials for production.
Micro-environmental analysis - Micro environment factors, are factors close to a business that have a direct impact on its business operations and success. Before deciding corporate strategy businesses should carry out a full analysis of their micro environment. In this article we discuss common micro environment factors. (2) For Jeep suitcase - There is many suitcases similar, so it’s high competitive place. 4P’s analysis for Jeep suitcase.


SAMSONITE - Armet
Product
Boring look & Larger & Lighter (100g) & More colors & 10 years warranty
Place
Suitcase shops & Internet shops
Price
$195 (higher price)
Promotion
Only promotion through online store





ANTLER - Tiber
Product
Luxury look & Larger, but less capacity & Lighter (200g) & Only one color
Place
Suitcase shops & Internet shops
Price
$149 (higher price)
Promotion
Only promotion through Online store






QANTAS - Spectre
Product
Boring look & Larger, but less capacity & same weight & Only 1 color & 7 years warranty
Place
Suitcase shops & Internet shops
Price
$95 (lower price)
Promotion
better promotion through Online store and Qantas (Air-company)


4. Pricing policy
        Jeep uses Value based pricing policy. As their suitcases are one of the cheapest ones on the market at the moment, but offer a great quality and features for the price.
Price adjustment strategy: is the discount that they are allowing on different online stores like http://www.bagworld.com.au/ etc. The original price 278 dollars is now 109.
Product mix pricing strategy: product line pricing
Example for this kind of pricing is Jeep is offering 3 piece sets of different size same model suitcases. As the original price for buying all the items separately it would cost almost 1000 dollars but getting a set of 3 would cost little under 400 dollars.   
5. Promotion

For promotion Jeep has used different online shops to distribute a product nationwide with minimum cost to company. Their second smart promotion way is to sell the suitcases in sets of 3 with a bit cheaper price. That will triple their sales if successful.

                https://www.brandsexclusive.com.au
                www.bagworld.com.au
     
6. Place
As mentioned previously Jeep uses different online stores to distribute their suitcases.
Their main factory is located in China and main office in Israel. So the good distribution is the key for success with that product.

Jeep uses both indirect and direct distribution channels. They sell suitcases directly on their webpage and also uses different online and physical stores.

Jeep uses selective distribution coverage strategy as they are not available everywhere but it's still quite easly accessable .
7.Level of customer service
Customer service for Jeep suitcases is either email or telephone based. When I contacted them via telephone I would rate the level of professionalism 10 out of 10.
Reason was the nice person keeping her calm as I was testing her with my most stupidest questions. Well done Jeeps customers service team.

8. Customer pace (target market)
Target market for our product is young adventure seeking adults in between 20-35 years of age. As we are not sexists we don’t pressure genter in our target market segmentation.
9. Outline how you would evaluate your marketing mix
Evaluate my product - Customers feedback, feedback forms, having people trial, popularity of our product (how many people own our product)
Evaluate the price - Compare products price with other similar products on market, also have to count in the price how much we are spending on making the product, and how much cost our marketing. Is the price too high? or too Cheap
Evaluating the place - Looking at profit we are making from Jeep Adventure Shops - is the place where is the store located profitable? Jeep Adventure has also online stores and cooperate with other stores, it’s available anywhere in Australia, we can only evaluate how many suitcases these stores sold, which won’t exactly tell us much.
Evaluating the promotion - customers feedback, what are the responses to our advertising - how many people we reached and how many people bought our product, are the money we spend on advertising reasonable.




  1. http://www.learnmarketing.net/microenvironment.htm

Tuesday, 9 August 2016

Segmentation of Target Market - International Marketing - CAFE

Use the following segment descriptors to describe the target market:
  • Psychographic: Grouping your customers into cultural clusters, social status, lifestyle and personality type. (2.3), (3.3) STATUS: where education and income are use to create social status VALUES, ATTITUDE: Young, positive, optimistic, conventional family life, socially aware PERSONALITY: Nationalistic, confident, hard working, calm

  • Decision Makers: Grouping your customers based on who decides to purchase your product within the company structure. (2.3) OCCASION: Regular purchase BENEFITS: Quality, service USER STATUS: Potential user, Non user, Regular user USAGE RATE: occasional user, medium user, heavy user

  • Behavioural: Grouping customers by product usage. For example; light, medium or heavy users. This stage also factors in brand loyalty and the type of user. (2.3) OCCASION: Regular purchase BENEFITS: Quality, service USER STATUS: Potential user, Non user, Regular user USAGE RATE: occasional user, medium user, heavy user

  • Geographic: Grouping customers by a specific area, such regions of the country or state and urban or rural. (2.3) REGION:Podlasie (Polish: Podlasie, Polish: Podlasie, Latin: Podlachia) Southern Podlasie (pl) (Polish: Podlasie PoĊ‚udniowe) Pomerania (Polish: Pomorze, German: Pommern, Latin: Pomerania, only partially in modern Poland, also a German historical region) CITY SIZE: under 1000, 1000-5000, 5000-20000, 20000-50000, 50000-100000, 100000-250000, 250000-500000, 500000-1000000, 1mil and over DENSITY: Urban, suburban, rural

  • Distribution: Grouping customers based on where they go to purchase your product, such as online, store or through a catalogue. (2.3) Cafe customers, Delivery, Takeaway

Demographic: Grouping customers by age, income level, gender, family size, religion, race, nationality, language, etc. (2.3), (3.3)  AGE: As young as 15-19, 20-24, 25-34, 35-49 SEX: Males & Females INCOME: over 20 000 AUD pa and more OCCUPATION: Students, Government employees, Managers, Office workers, Tradesmans EDUCATION: High school and more.

SWOT Campos Cafe - INTERNATIONAL MARKETING

SWOT ANALYSIS - Strengths
- High quality products  
- Innovative features and styles  
- Premium brand
- Quality-price
- Environmental friendliness
Weakness
- Weak recognition in Europe
- Slow growth strategy
- Aerated drinks not popular with health conscious people
- Lack of exporting experience
Opportunities
- International expansion
- Build Europe brand recognition
- Increasing demand for quality
food and beverage
- Advertise more
- Product development
- Demand for quality
Threats
- Economic conditions
- Competition
- Partners & distribution channels
- Changes in buyer behaviour
- Marketing

SWOT analysis conclusion: Campos cafe has great potential. If they pursue a stronger market in Europe, Asia or even in America, CAMPOS profit will significantly increase. We can assume that better advertising, market research; new marketing developing channels would help to improve Campos Cafe sales.

PEST ANALYSIS POLAND - INTERNATIONAL MARKETING


POLITICAL
Poland has stable political situation. Poland is part of EU, but keeps polish currency (ZLO). Poland has democracy and has market focused economy. According to BIM, Poland has 51.2 out of 100 in regulatory & legal risk. Poland is one of the biggest trade companies in EU.
ECONOMICAL
Poland nowadays focuses a lot in how to increase number of unemployment. Country starts to analyse opportunities in rising service and manufacturing level in country. The global GDR is expected to grow up to 96.5 $ trillion by 2017. Strong domestic consumption helps the economic growth of the country. It highly attracts investors around the world. Nowadays polish economical level has been growing during the last decade, comparing with other European countries.
SOCIAL
Nowadays Poland is one of dominating countries that exports high percentage of goods, car and car parts, machinery and electronics, chemicals, fuels and minerals. Poland becomes one of the countries of colourful shops, international labels and dynamic people. Polish people demonstrate their initiative, optimism and hospitality, what is always appreciated by foreigners. Polish is a language of 50 million people around the globe.
TECHNOLOGICAL
Last inventions in Poland bring worldwide recognition of the country, as a high level Technology improvement. Grapheme was invented at the institute of Materials Technology in Warsaw. Poland is working on some project, which brings dramatically progress in the medical sciences. Many Polish factories become part of the German supply chain, because of Poland high productivity and low wages. Since 2004, when Poland joined the EU and had access to EU foundation, government invested a lot to education and science developing, which nowadays brings really big profit for the country.

PEST ANALYSIS SLOVAKIA (SLOVAK REPUBLIC)

Political environment

According to OECD, in general, Slovaks are less satisfied with their lives than the OECD average, with 75% of people saying they have more positive experiences in an average day such as feelings of rest, pride in accomplishment, enjoyment, etc, than negative ones such aspain, worry, sadness, boredom, etc, and this estimated figure is slightly lower than the OECD average of 80%. Growth is projected to strengthen as higher export market growth boosts investment and exports, especially in the automotive industry. Private consumption will continue to grow, but is likely to face headwinds due to unfavourable conditions in a labour market characterised by high and persistent unemployment. Budgetary measures needed to reach a targeted fiscal deficit below 3% of GDP in 2014 will damp domestic demand. Constitutional debt ceilings are becoming binding and limit the flexibility of fiscal policy. Strengthening active labour market programmes is needed to make growth more job-intensive while sustaining productivity improvements. Public spending on infrastructure and education should remain a priority. 
 

Economical Environment

Slovakia is one of the fastest-growing economies of the European Union. The country’s economy is expected to reach $111.8 billion by the end of 2018. Slovakia has achieved high economic growth due to its economic reforms, inflow of FDI, in addition to its high exports and imports. Economic reforms and market-oriented government policy boosted the economic growth in Slovakia during the last decade. Increasing foreign demand has strengthened the trade sector and pushed economic growth. In the Slovak Republic, the average net adjusted disposable income of the top 20% of the population is an estimated $29,511/ year, whereas the bottom 20% earn an estimated $7,680/ year. Slovakia is a modern, private sector oriented economy that has enjoyed increased economic growth encouraged by international demand. 

Social Environment

The Slovakian economy suffers from high rate of inflation caused by high energy prices as well as an increasing VAT rate. The high unemployment rate is hampering economic growth and the retail and real estate industries, affecting consumer demand. The major strengths of the economy, include such as Slovakia offers a skilled, highly productive work force with relatively low wages, which is beneficial for the technology-based industry. Investment incentives are provided to different sectors to increase the business environment in Slovakia. Incentives are available to industries, technological centers, shared services centers, and tourism sectors. According to OECD, when asked to rate their general satisfaction with life on a scale from 0 to 10, Slovaks gave it a 5.9 grade, lower than the OECD average of 6.6. There is little difference in life satisfaction levels between men and women across OECD countries. This is true in the Slovak Republic, where men gave their life a 6.0 grade and women 5.9. 
 

Technological Environment

The proposed R&D sector of the Platform is extraordinary important for the Slovak economy. Slovakia has a long term tradition in Mechanical Engineering, Electrical Engineering, Electronics and Heavy industry. These industries need new development and the application of advanced technologies. Slovak enterprises shall be integrated into the global supply network of highly-specialised components for global producers of final goods. Slovak producers and their working power are acknowledged for their high quality and precise work.